IDEAS home Printed from https://ideas.repec.org/a/ura/ecregj/v1y2017i1p226-236.html
   My bibliography  Save this article

The Possibility to Apply Effectuation and Causation Concepts at National Scope

Author

Listed:
  • Olga Karpetc

    (Far Eastern Federal University)

  • Ekaterina Iurchenko

    (Department of Asia-Pacific studies, Oriental Institute - School of Regional and International Studies, Far Eastern Federal University)

Abstract

The article presents a new approach to the efficiency analysis of state macroeconomic policy. Effectuation concept serves as a theoretical basis. The concept was first introduced by S. Sarasvathy and has been used as an alternative or a complementary instrument for business construction. The authors transfer both the effectuation concept and causation one at the macro level by the adoption of qualitative type of methodology — case study at country’s level. Five principles of effectuation are described in brief and applied in parallel to the Chinese government macroeconomic policy in the period of rapid changes (starting in 1978 and to the end of XX century). For further support of conclusions, the article presents a microeconomic analysis of both concepts on the example of China: we tested the features of traditional Chinese management at the organization level on their compliance with effectuation and/or causation principles. Our main conclusion stands to support the one by Sarasvathy et al. Meaning that the most effect (at the country’s level in our case) may be achieved solely by a complementary application of effectuation and causation. Reasonable integration of causation and effectuation principles promotes successful micro- and macroeconomic results. The case of China also serves to prove the possibility for effective management strategies on macro- and micro-levels emerging out of conflicting concepts and based on rather conservative cultural issues. The conclusions and results of this research may be used for state macroeconomic policy construction if certain conditions are satisfied.

Suggested Citation

  • Olga Karpetc & Ekaterina Iurchenko, 2017. "The Possibility to Apply Effectuation and Causation Concepts at National Scope," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(1), pages 226-236.
    • Handle: RePEc:ura:ecregj:v:1:y:2017:i:1:p:226-236
    as

    Download full text from publisher

    File URL: http://economyofregion.ru/Data/Issues/ER2017/March_2017/ERMarch2017_226_236.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Justin Yifu Lin, 2013. "Demystifying the Chinese Economy," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(3), pages 259-268, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. A. Abramov & A. Radygin & M. Chernova & R. Entov., 2017. "State ownership and efficiency characteristics," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 4.
    2. Pang, Silu & Hua, Guihong & Liu, Hui, 2023. "How do R&D capital market distortions affect innovation efficiency in China? Some evidence about spatial interaction and spillover effects," Socio-Economic Planning Sciences, Elsevier, vol. 90(C).
    3. Wen, Yi, 2021. "China's industrial revolution: A new perspective," China Economic Review, Elsevier, vol. 69(C).
    4. Phan, Diep & Coxhead, Ian, 2013. "Long-run costs of piecemeal reform: Wage inequality and returns to education in Vietnam," Journal of Comparative Economics, Elsevier, vol. 41(4), pages 1106-1122.
    5. Justin Yifu Lin & Xiaobing Wang, 2019. "The Facilitating State and Economic Development: The Role of the State in New Structural Economics," Book, University of Warsaw, Faculty of Management, edition 1, volume 1, number y:2019:v:1:ch:6:p:123-141 edited by Justin Yifu Lin & Alojzy Z. Nowak, June.
    6. Gaofeng Xu & Jian Liu, 2023. "Institutional Diversity or Isomorphism? Research on the Evolution of Collective-Owned Construction Land Marketization Reform since the 1990s—The Case of Shunde and Wujiang, China," Land, MDPI, vol. 12(4), pages 1-18, March.
    7. Lectard, Pauline & Rougier, Eric, 2018. "Can Developing Countries Gain from Defying Comparative Advantage? Distance to Comparative Advantage, Export Diversification and Sophistication, and the Dynamics of Specialization," World Development, Elsevier, vol. 102(C), pages 90-110.
    8. Lin, Justin Yifu & Treichel, Volker, 2012. "The unexpected global financial crisis : researching its root cause," Policy Research Working Paper Series 5937, The World Bank.
    9. Wei, Wei & Hu, Haiqing & Chang, Chun-Ping, 2022. "Why the same degree of economic policy uncertainty can produce different outcomes in energy efficiency? New evidence from China," Structural Change and Economic Dynamics, Elsevier, vol. 60(C), pages 467-481.
    10. Kerry Liu, 2018. "Chinese Manufacturing in the Shadow of the China–US Trade War," Economic Affairs, Wiley Blackwell, vol. 38(3), pages 307-324, October.
    11. Niu, Linlin & Xu, Xiu & Chen, Ying, 2017. "An adaptive approach to forecasting three key macroeconomic variables for transitional China," Economic Modelling, Elsevier, vol. 66(C), pages 201-213.
    12. Volker Brühl, 2025. "The economic rise of China – an analysis of China’s growth drivers," International Economics and Economic Policy, Springer, vol. 22(1), pages 1-49, February.
    13. Asayehgn Desta, "undated". "Transforming Ethiopias Developmental State Model For The Future," Review of Socio - Economic Perspectives 201937, Reviewsep.
    14. Gillen, Jamie & Mostafanezhad, Mary, 2019. "Geopolitical encounters of tourism: A conceptual approach," Annals of Tourism Research, Elsevier, vol. 75(C), pages 70-78.
    15. Eswar S. Prasad & Lei Ye, 2011. "The renminbi’s role in the global monetary system," Proceedings, Federal Reserve Bank of San Francisco, issue Nov, pages 127-197.
    16. Niu, Linlin & Xu, Xiu & Chen, Ying, 2017. "An adaptive approach to forecasting three key macroeconomic variables for transitional China," Economic Modelling, Elsevier, vol. 66(C), pages 201-213.
    17. Bofinger, Peter & Geißendörfer, Lisa & Haas, Thomas & Mayer, Fabian, 2023. "Credit as an instrument for growth: A monetary explanation of the Chinese growth story," W.E.P. - Würzburg Economic Papers 107, University of Würzburg, Department of Economics.
    18. Borys Volodymyrovich Burkynskyi & Alexei Borisovich Alyokhin & Anna Bogdanovna Brutman & Zoia Nikolaevna Sokolovska & Nina Ippolytivna Khumarova, 2019. "Competitiveness and Related Concepts: A Logical Approach to Definition," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 18-44.
    19. Fernanda Ilheu, 2020. "The global value chains and the evolution of Chinese economic model," CEsA Working Papers 178, CEsA - Centre for African and Development Studies.
    20. Toma Sorin-George & Grădinaru Cătălin, 2018. "Chinese Economic Pragmatism: The Belt and Road Initiative," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 70-74, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ura:ecregj:v:1:y:2017:i:1:p:226-236. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alexey Naydenov (email available below). General contact details of provider: http://www.economyofregion.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.